The refinish paint market for automotive is projected to grow from USD 7.00 Billion in 2017 to USD 8.50 Billion by 2022, at a CAGR of 4.0% from 2017 to 2022. Major factors driving the refinish paint market for automotive are the increasing demand for vehicles, collision rate, and the ability of car owners to repair their vehicle post-collision.

The polyurethane resin segment accounted for the largest share of the overall refinish paint market for automotive in 2016. The growth in this segment is backed by its preference in clearcoat and basecoat layers due to its excellent weather, corrosion, and mechanical resistance.

Basecoat and clearcoat are the most important layers in automotive refinish coating process. Basecoat provides color and aesthetics and offers protection from corrosion. Clearcoat protects the basecoat and offers lustrous look. Basecoat and clearcoat considered together as topcoat which has major dominance in automotive refinish coating process.

The passenger car segment led the refinish paint market for automotive and is expected to maintain its dominance during the forecast period. Increasing number demand for cars in emerging economies such as China, India, Mexico, and others is driving the segment. The growth is also backed by the rising income of middle-class population and increased propensity of car owners to repair their vehicle post any collision.

The refinish paint market for automotive in Asia-Pacific expected to witness the highest growth during the forecast period. Emerging economies, such as China, India, and various Southeast Asian countries are attracting several global players to establish their manufacturing base in Asia-Pacific. These manufacturers are competing to reach an extensive customer base in countries, such as China and India to cater to the increasing demand for refinish coating from the various end-users in these countries.

Factors such as volatility in the prices of raw materials may restrain the growth of the refinish paint market for automotive, globally.